U.S. SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C.  20549

                                   FORM 10-QSB

(Mark  One)

 X   QUARTERLY  REPORT  PURSUANT  TO  SECTION  13  OR  15(d) OF THE SECURITIES
___  EXCHANGE  ACT  OF  1934
     For  the  quarterly  period  ended:  June  30,  1999
                                         ----------------

___  TRANSITION  REPORT  PURSUANT  TO  SECTION  13 OR 15(d) OF THE SECURITIES
     EXCHANGE  ACT  OF  1934
     For  the  transition  period  from  _______________  to  ________________

                       Commission file number:   33-43317
                                               ----------

                              EASTON BANCORP, INC.
                              --------------------
        (Exact name of small business issuer as specified in its charter)

               Maryland                        52-1745344
               --------                    -------------------
        (State of incorporation)     (I.R.S. Employer Identification No.)

                  501 Idlewild Avenue, Easton, Maryland  21601
                  --------------------------------------------
                    (Address of principal executive offices)

                                 (410) 819-0300
                                 --------------
                           (Issuer's telephone number)

                                 Not Applicable
                                 --------------
    (Former name, former address and former fiscal year, if changed since last
                                     report)


     Check  whether  the  issuer:  (1) filed all reports required to be filed by
Section  13  or 15(d) of the Exchange Act during the past 12 months (or for such
shorter  period  that the registrant was required to file such reports), and (2)
has  been  subject  to  such  filing  requirements  for  the  past  90  days.
Yes   X   No
     ---     ---

     State  the  number of shares outstanding of each of the issuer's classes of
common  equity,  as  of  the  latest  practicable  date:

     On  August  4, 1999, 560,318 shares of the issuer's common stock, par value
$.10  per  share,  were  issued  and  outstanding.

     Transitional  Small Business Disclosure Format (check one):  Yes     No  X
                                                                      ---    ---


<PAGE>
                                     PART I
                              FINANCIAL INFORMATION

ITEM  1.  FINANCIAL  STATEMENTS.

<TABLE>
<CAPTION>
                       EASTON BANCORP, INC. AND SUBSIDIARY
                           CONSOLIDATED BALANCE SHEETS
                                   (Unaudited)



                                                     June 30,     December 31,
                                                       1999           1998
                                                   ------------  --------------
<S>                                                <C>           <C>

                          ASSETS

Cash and due from banks                            $   926,313   $     976,682
Federal funds sold                                     349,860       7,269,903
Investment in Federal Home Loan Bank stock             150,000         145,600
Investment securities available-for-sale             4,168,330       4,840,026
Loans, less allowance for credit losses of
   $488,280 and $530,000, respectively              39,535,622      33,254,808
Premises and equipment, net                          1,672,390       1,662,127
Accrued interest receivable                            259,171         246,470
Loan payment held in escrow                                  -       1,175,000
Other assets                                           163,161          94,777
Deferred income taxes                                  367,132         401,551
                                                   ------------  --------------
       Total assets                                $47,591,979   $  50,066,944
                                                   ============  ==============

           LIABILITIES AND STOCKHOLDERS' EQUITY

Deposits
   Noninterest-bearing                             $ 3,623,173   $   4,682,618
   Interest-bearing                                 37,205,790      39,436,342
                                                   ------------  --------------
     Total deposits                                 40,828,963      44,118,960
Accrued interest payable                                77,186          95,611
Securities sold under agreements to repurchase         110,456         281,019
Note payable                                         2,009,193       1,000,000
Other liabilities                                       39,596         111,685
                                                   ------------  --------------
     Total liabilities                              43,065,394      45,607,275
                                                   ------------  --------------

Stockholders' equity
   Common stock, par value $.10 per share;
     Authorized 5,000,000 shares, 560,318 shares
     issued and outstanding                             56,032          56,032
   Additional paid-in-capital                        5,227,487       5,227,487
   Retained earnings (deficit)                        (702,867)       (816,863)
                                                   ------------  --------------
                                                     4,580,652       4,466,656
Accumulated other comprehensive income                 (54,067)         (6,987)
                                                   ------------  --------------
     Total stockholders' equity                      4,526,585       4,459,669
                                                   ------------  --------------
     Total liabilities and stockholders' equity    $47,591,979   $  50,066,944
                                                   ============  ==============
</TABLE>

See  accompanying  Notes  to  Consolidated  Financial  Statements.


                                        1
<PAGE>
<TABLE>
<CAPTION>
                       EASTON BANCORP, INC. AND SUBSIDIARY
                       CONSOLIDATED  STATEMENTS  OF  INCOME
                                   (Unaudited)



                                     Three Months Ended     Six Months Ended
                                           June  30,            June  30,
                                     ------------------  ----------------------
                                       1999      1998       1999        1998
                                     --------  --------  ----------  ----------
<S>                                  <C>       <C>       <C>         <C>
Interest revenue
 Loans, including fees               $866,152  $761,797  $1,633,089  $1,514,205
 Investment securities                 63,111    28,907     135,770      53,459
 Federal funds sold                    15,629    67,043      78,028     119,743
                                     --------  --------  ----------  ----------
 Total interest revenue               944,892   857,747   1,846,887   1,687,407

Interest expense                      423,570   461,264     870,247     909,319
                                     --------  --------  ----------  ----------

   Net interest income                521,322   396,483     976,640     778,088

Provision for loan losses              18,000    34,812      36,000      71,345
                                     --------  --------  ----------  ----------

 Net interest income after
     provision for loan losses        503,322   361,671     940,640     706,743
                                     --------  --------  ----------  ----------

Other operating revenue                48,715    33,854      87,023      60,615
                                     --------  --------  ----------  ----------

Other expenses
 Salaries and benefits                272,265   216,809     524,462     421,127
 Occupancy                             16,400    14,884      33,831      28,405
 Furniture and equipment               19,626    24,486      37,786      49,387
 Other operating                      139,306   130,328     258,916     231,822
                                     --------  --------  ----------  ----------
 Total operating expenses             447,597   386,507     854,995     730,741
                                     --------  --------  ----------  ----------

Income before income taxes            104,440     9,018     172,668      36,617

Income taxes                           34,872         -      58,672           -
                                     --------  --------  ----------  ----------

Net income                           $ 69,568  $  9,018  $  113,996  $   36,617
                                     ========  ========  ==========  ==========

Earnings per common share - basic    $   0.12  $    .02  $     0.20  $      .07
                                     ========  ========  ==========  ==========

Earnings per common share - diluted  $   0.12  $    .01  $     0.19  $      .06
                                     ========  ========  ==========  ==========
</TABLE>

See  accompanying  Notes  to  Consolidated  Financial  Statements.


                                        2
<PAGE>
<TABLE>
<CAPTION>
                       EASTON BANCORP, INC. AND SUBSIDIARY
                     CONSOLIDATED  STATEMENTS  OF  CASH  FLOWS
                                   (Unaudited)



                                                                  Six Months Ended
                                                                       June 30,
                                                             --------------------------
                                                                 1999          1998
                                                             ------------  ------------
<S>                                                          <C>           <C>
CASH FLOWS FROM OPERATING ACTIVITIES
 Interest received                                           $ 1,833,801   $ 1,672,106
 Other revenue received                                           19,813        61,648
 Cash paid for operating expenses                               (877,444)     (661,378)
 Interest paid                                                  (888,672)     (909,740)
                                                             ------------  ------------
                                                                  87,498       162,636
                                                             ------------  ------------
CASH FLOWS FROM INVESTING ACTIVITIES
 Cash paid for premises, equipment and software                  (62,326)      (11,553)
 Net loans to customers                                       (6,314,050)      877,193
 Receipt of funds held in escrow                               1,175,000             -
 Proceeds from sales/maturities of investments                 1,721,697       500,000
 Purchase of investment securities                            (1,128,113)   (1,719,961)
 Proceeds from sale of other real estate owned                    61,699             -
 Purchase of other real estate owned                             (60,450)            -
                                                             ------------  ------------
                                                              (4,606,543)     (354,321)
                                                             ------------  ------------
CASH FLOWS FROM FINANCING ACTIVITIES
 Net increase in time deposits                                (3,551,399)    1,438,640
 Net increase in other deposits                                  261,402       604,340
 Net decrease in securities sold under agreements
     to repurchase                                              (170,563)      (19,639)
 Proceeds from borrowings                                      1,009,193     1,000,000
 Proceeds from exercise of stock options                               -         9,900
                                                             ------------  ------------
                                                              (2,451,367)    3,033,241
                                                             ------------  ------------

NET INCREASE (DECREASE) IN CASH                               (6,970,412)    2,841,556
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD               8,246,585     4,382,348
                                                             ------------  ------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD                   $ 1,276,173   $ 7,223,904
                                                             ============  ============

RECONCILIATION OF NET INCOME TO NET CASH PROVIDED (USED)
     FROM OPERATING ACTIVITIES
 Net income                                                  $   113,996   $    36,617
 Adjustments to reconcile net income to net cash
  provided (used) from operating activities:
     Depreciation and amortization                                44,790        81,719
     Provision for loan losses                                    36,000        71,345
     Decrease (increase) in accrued interest receivable
       and other assets                                          (31,126)       18,580
     Increase (decrease) in operating accounts payable and
       other liabilities                                         (75,777)      (28,146)
     Deferred loan origination fees                               (2,764)      (17,509)
     Investment amortization, net of accretion                     2,379            30
                                                             ------------  ------------
                                                             $    87,498   $   162,636
                                                             ============  ============
</TABLE>


See  accompanying  Notes  to  Consolidated  Financial  Statements.

                                        3
<PAGE>
NOTES  TO  CONSOLIDATED  FINANCIAL  STATEMENTS:

1.     Basis  of  Presentation
       -----------------------

     The  accompanying  unaudited  condensed  financial  statements  have  been
prepared in accordance with generally accepted accounting principles for interim
financial  information  and with the instructions to Form 10-QSB and Item 310(b)
of  Regulation S-B of the Securities and Exchange Commission.  Accordingly, they
do  not include all the information and footnotes required by generally accepted
accounting  principles  for  complete  financial  statements.  In the opinion of
management, all adjustments (consisting of normal recurring accruals) considered
necessary for a fair presentation have been included.  Operating results for the
six  months  ended  June 30, 1999, are not necessarily indicative of the results
that  may  be  expected  for  the  year  ended  December  31, 1999.  For further
information,  refer  to  the  consolidated  financial  statements  and footnotes
thereto  for  the Company's fiscal year ended December 31, 1998, included in the
Company's  Form  10-KSB  for  the  year  ended  December  31,  1998.

2.     Cash  Flows
       -----------

     For  purposes  of  reporting  cash flows, cash and cash equivalents include
cash  on  hand,  unrestricted  amounts  due from banks, overnight investments in
repurchase  agreements,  and  federal  funds  sold.


                                        4
<PAGE>
     This Report contains statements which constitute forward-looking statements
within  the meaning of Section 27A of the Securities Act of 1933 and Section 21E
of  the Securities Exchange Act of 1934.  These statements appear in a number of
places in this Report and include all statements regarding the intent, belief or
current  expectations of the Company, its directors or its officers with respect
to, among other things: (i) the Company's financing plans; (ii) trends affecting
the  Company's financial condition or results of operations; (iii) the Company's
growth  strategy and operating strategy; and (iv) the declaration and payment of
dividends.  Investors are cautioned that any such forward-looking statements are
not  guarantees  of  future performance and involve risks and uncertainties, and
that  actual  results  may  differ  materially  from  those  projected  in  the
forward-looking  statements  as a result of various factors discussed herein and
those  factors  discussed in detail in the Company's filings with the Securities
and  Exchange  Commission.

ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF  OPERATIONS.

     Easton  Bancorp,  Inc. (the "Company") was incorporated in Maryland on July
19, 1991, primarily to own and control all of the capital stock of Easton Bank &
Trust  Company  (the "Bank") upon its formation.  The Bank commenced business on
July  1,  1993,  and  the  only  activity of the Company since then has been the
ownership  and  operation  of  the  Bank.  The Bank was organized as a nonmember
state  bank  under  the laws of the State of Maryland.  The Bank is engaged in a
general  commercial  banking  business,  emphasizing in its marketing the Bank's
local  management  and  ownership,  from its main office location in its primary
service  area,  Talbot County, Maryland.  In addition, in February 1999 the Bank
opened  a  loan  production  office  in  Denton,  Maryland, which is in Caroline
County.  In  April  1999,  the  Bank  received approval from the Federal Deposit
Insurance  Corporation  and  the  State  of Maryland State Banking Department to
establish  a  branch  in Denton, Maryland.  The Bank intends to open a branch at
300  Market Street in Denton in September 1999.  The Bank offers a full range of
deposit services that are typically available in most banks and savings and loan
associations,  including  checking  accounts, NOW accounts, savings accounts and
other  time  deposits of various types, ranging from daily money market accounts
to  longer-term  certificates  of deposit.  In addition, the Bank offers certain
retirement  account  services, such as Individual Retirement Accounts.  The Bank
offers a full range of short- to medium-term commercial and personal loans.  The
Bank  also  originates  and  holds  or sells into the secondary market fixed and
variable rate mortgage loans and real estate construction and acquisition loans.
Other  bank  services  include  cash  management  services,  safe deposit boxes,
travelers  checks,  direct  deposit  of  payroll and social security checks, and
automatic  drafts  for  various  accounts.

     The  following  discussion  of  the  financial  condition  and  results  of
operations  of  the  Company  should  be  read in conjunction with the Company's
financial  statements  and  related  notes  and  other  statistical  information
included  elsewhere  herein.

Results  of  Operations
-----------------------

     Net  income  for  the Company for the three months ended June 30, 1999, was
$69,568, compared to $9,018 during the corresponding period of 1998.  Net income
for  the  six  months ended June 30, 1999, was $113,996, compared to $36,617 for
the  corresponding  period of 1998.  Net income before income taxes was $104,440
for  the  three  months  ended  June  30,  1999,  compared  to $9,018 during the
corresponding  period  of 1998.  Net income before income taxes was $172,668 for
the six months ended June 30, 1999, compared to $36,617 during the corresponding
period  of  1998.

     The increase in earnings before income taxes for the six month period ended
June 30,  1999 can be  attributed  to an  increase  in net  interest  income  of
approximately  $198,000,  a decrease of  approximately  $35,000 in provision for
loan losses, and an increase of approximately $26,000 in other operating income,
offset by an increase of approximately $124,000 in total operating expenses. The
increase in net interest income is primarily due to an increase of approximately
$82,000 in interest earned on growth in the investment portfolio and an increase
of  approximately  $119,000  in  interest  earned  on the  growth  in  the  loan
portfolio.  The increase in total operating expenses is primarily  attributed to
an increase in salaries and benefits of approximately $103,000.

                                        5
<PAGE>
     The Bank's loan  portfolio  increased  from $33.3  million at December  31,
1998,  to $39.5 million at June 30, 1999.  The Bank's  provision for loan losses
was $18,000 for the quarter ended June 30, 1999,  and $36,000 for the six months
ended June 30,  1999,  compared to $34,812 for the quarter  ended June 30, 1998,
and $71,345 for the six months ended June 30, 1998.

     The  allowance  for loan losses was $488,280 at June 30, 1999,  or 1.22% of
total loans,  compared to $530,033 at March 31,  1999,  or 1.45% of total loans,
and  $530,000 at December 31,  1998,  or 1.57% of total loans.  The level of the
allowance for loan losses  represents  management's  current  estimate of future
losses  in the loan  portfolio;  however,  there can be no  assurance  that loan
losses in future  periods will not exceed the  allowance for loan losses or that
additional increases in the allowance will not be required.

     Total  operating  expenses  increased  $61,090 to $447,597  for the quarter
ended June 30,  1999,  from  $386,507 for the quarter  ended June 30, 1998.  The
increase  was  primarily  related to the  increases  in salaries and benefits of
$55,456.  The  increase  in  salaries  and  benefits  was due to  annual  salary
increases and three new full-time  employees hired for the Main Office since the
second quarter of 1998.  Also,  three full-time  employees were hired for Denton
Bank & Trust  Company,  a  division  of Easton  Bank & Trust  Company,  which is
scheduled to open in September 1999.

     Return on average assets and average equity,  on an annualized  basis,  for
the quarter ended June 30, 1999, was .59% and 6.26%,  respectively,  compared to
 .32% and 3.49%,  respectively,  for the same quarter of 1998.  Return on average
assets and average equity, on an annualized basis, for the six months ended June
30,  1999,  was .56%  and  6.14%,  respectively,  compared  to .30%  and  3.28%,
respectively,  for the same  quarter  of  1998.  Earnings  per  share on a fully
diluted  basis for the quarter  and the six months  ended June 30, 1999 was $.12
and $.19, respectively,  compared to $.01 and $.06,  respectively,  for the same
periods of 1998.

     The Company's  assets ended the second quarter of 1999 at $47.6 million,  a
decrease of $2.5 million, or 4.9%, from $50.1 million at December 31, 1998. This
decrease can be  attributed  primarily  to the $6.9 million  decrease in federal
funds sold, offset by the increase in the Bank's loans of $6.3 million,  and the
decrease in loan payments held in escrow of $1.2 million.  The Company  borrowed
an  additional  $700,000  from the Federal  Home Loan Bank of Atlanta,  bringing
total borrowings from the Federal Home Loan Bank of Atlanta to $2.0 million.  Of
the total $2.0 million,  $1.5 are match funded on two loans and $.5 million is a
short-term borrowing.

     Management  expects  that its 1999 income will  exceed  expenses.  Although
management  expects that the  Company's  current  profitability  will  continue,
future events,  such as an  unanticipated  deterioration  in the loan portfolio,
could reverse this trend.  Management's  expectations  are based on management's
best judgment and actual  results will depend on a number of factors that cannot
be predicted with certainty and thus  fulfillment of  management's  expectations
cannot be assured.

Liquidity  and  Sources  of  Capital
------------------------------------

     The  $3.3  million decrease in deposits from December 31, 1998, to June 30,
1999, is primarily reflected in the $6.9 million decrease in federal funds sold.
The  Company's  primary  source  of  liquidity  is  cash on hand plus short-term
investments.  At  June  30,  1999,  the  Company's  liquid  assets  totaled $5.6
million,  or 11.8% of total assets, compared to $13.2 million, or 26.4% of total
assets,  at  December 31, 1998.  Another source of liquidity is the $6.0 million
secured  line  of  credit  the  Company  has  from the Federal Home Loan Bank of
Atlanta,  of  which  $2.0  million is currently used, the $1.0 million unsecured
line  of  credit the Company has from a correspondent bank, and the $1.5 million
secured line of credit the Company has from another correspondent bank, of which
$75,000  of  the  $1.5  million  line  of credit is pledged to secure repurchase
agreements.  If  additional  liquidity  is  needed,  the  Bank  will  sell
participations  in  its  loans.

                                        6
<PAGE>
     The  capital of the Company and the Bank exceeded all prescribed regulatory
capital  guidelines  at  June  30,  1999.  At June 30, 1999, the Tier 1 leverage
ratio  for  the  Bank was 9.45%.  At June 30, 1999, the Bank had a risk-weighted
total  capital  ratio  of  13.09%  and  a  Tier 1 risk-weighted capital ratio of
11.84%.  The Company expects that its current capital and short-term investments
will  satisfy  the  Company's  cash  requirements  for  the  foreseeable future.
However, no assurance can be given in this regard as rapid growth, deterioration
in  the  loan quality or poor earnings, or a combination of these factors, could
change  the  Company's  capital  position  in a relatively short period of time.

Accounting  Rule  Changes
-------------------------

     In  June  1998,  the  Financial  Accounting Standards Board ("FASB") issued
Statement  of  Financial Accounting Standards No. 133, Accounting for Derivative
Instruments  and  Hedging  Activities.  The  Company currently has no derivative
instruments  or  hedging  activities  but  elected  early  adoption  of  this
pronouncement.  The  standard  allows,  at  adoption,  a  one-time  transfer  of
securities  between  the  held-to-maturity  and  available-for-sale  securities
without  affecting  the  classification  of  other  securities.  The  Company
transferred  its  remaining  securities  classified  as  held-to-maturity to the
available-for-sale  portfolio.

Year  2000  Issues
------------------

     The  Year  2000 issue relates to computer programs that use only two digits
to  identify  a  year in the date field.  Unless corrected, these programs could
read the year 2000 as the year 1900 and likely would adversely affect any number
of  calculations that are made using the date field.  Financial institutions are
highly  computerized  organizations  and  the  Year  2000  issue  represents  a
significant  risk  to  the  industry.  The  Company  faces the same risks as the
industry.  The  failure  of  a major loan or deposit system due to the Year 2000
issue could result in interest and balances being calculated inaccurately.  Such
failures could have a significant impact on a financial institution's operations
and  liquidity.

     Management  has  a  Year  2000  Committee,  which  reports  to  the  Board,
responsible  for  assessing  progress  in  the  Company's  plans to minimize the
effects  of  the Year 2000 issue.  In its assessment of the Year 2000 issue, the
committee  identified  five  major  phases:  Awareness,  Assessment, Renovation,
Validation  and  Implementation.

     The awareness phase is a continuing effort to educate employees, customers,
business  partners and vendors of the impact of the Year 2000 issue.  The effort
is  well under way through communication with the appropriate constituencies and
training for all employees.  During the assessment phase, which was completed by
March 31, 1998, a detailed list was compiled of all vendors, hardware, software,
and  equipment  owned or used by the Company.  Each item was assigned a priority
based on its importance to the operations of the Company and the risk associated
with  non-compliance.  All  manufacturers,  software  providers and vendors were
requested  to  provide information relating to the readiness of their product or
process  for  the  Year 2000.  The mission critical areas were identified as the
third  party data processor, the loan documentation and compliance software, the
new  accounts  platform software, the proof machines, the microfilmer and fische
reader  and  the security system.  The Company has also assessed non-information
technology  systems,  including  the  alarm  systems  of  the  Company.

     The validation phase consisted of testing all mission critical hardware and
software  for  Year  2000 readiness.  Validation of the core banking systems has
been  completed.  Test  transactions were processed on loan and deposit accounts
to  validate  the  accuracy of the Company's third party data processing service
provider.  Validation  tests  were  also run on the loan and compliance software
and  the  Federal Reserve Bank FedLine system.  All tests were successful and no
Year  2000  problems  were  indicated.  Contingency  planning  for  all  mission
critical  functions  was  completed  in  June  1999.

                                        7
<PAGE>
     Of  concern  to management is the amount of funds which may be necessary to
have in the Bank and the ATM at the end of 1999 in the event customers desire to
withdraw  extra  cash.  The  Company  is  currently working to estimate the most
likely  level  of cash requirements, the source of these funds, and the required
level of security and insurance for the additional cash.  It may be necessary to
build  significant  levels of cash at the end of 1999 which could reduce earning
assets or increase borrowings for a period of time, thereby negatively affecting
earnings.  In addition, it may be necessary to purchase commitments from current
cash  sources  to  guarantee funds availability and to purchase commitments from
vendors  who  transport  cash.

     Another  concern  is  the preparedness of the Bank's customers for the Year
2000 issue.  For example, commercial loan customers may be unable to repay their
loans  from  the  Bank if their business is negatively impacted by the Year 2000
issue.  Management  continues  to attempt to address this issue by educating its
customers  as  to  the  possible consequences of not being prepared for the Year
2000  issue.  In  addition,  loan  underwriting  for  the past year has included
issues  relating  to  the  customers'  preparedness  for the Year 2000 and their
reliance  on  computers  in  their  business  operations.

     The  Company's  total  costs  associated  with  the  Year  2000  issue will
primarily  include  the  costs  incurred  to  upgrade  the existing software and
hardware  not  currently  Year  2000  compliant.  The Company expects that these
costs will be incurred in the normal course of business as software and hardware
is  ordinarily  upgraded  to keep pace with technological advances.  The Company
estimates  that $1,000 has been spent to date which could be related to the Year
2000  issue.  The Company does not track internal costs for personnel devoted to
the  Year  2000 issue; however, one individual has spent significant time on the
project  and many individuals have spent numerous hours working on the Year 2000
issue.

Market  Risk
------------

     Net  interest income of the Company is one of the most important factors in
evaluating  the financial performance of the Company.  The Company uses interest
sensitivity  analysis  to  determine  the  effect of rate changes.  Net interest
income  is  projected  over  a  one-year  period  to  determine the effect of an
increase  or  decrease  in the prime rate of 100 basis points.  If prime were to
decrease  100  basis  points,  the  Company  would experience an increase in net
interest  income  of  $9,300  if all assets and liabilities maturing within that
period  were  adjusted  for  the rate change.  The sensitivity analysis does not
consider  the likelihood of these rate changes nor whether management's reaction
to  this  rate  change  would  be  to  reprice  its  loans  and  deposits.

                                        8
<PAGE>
                                     PART II
                                OTHER INFORMATION


ITEM  1.  LEGAL  PROCEEDINGS.

     There are no material pending legal proceedings to which the Company or the
Bank  is  a  party  or  of  which  any  of  their  property  is  the  subject.

ITEM  2.  CHANGES  IN  SECURITIES.

     None.

ITEM  3.  DEFAULTS  UPON  SENIOR  SECURITIES.

     Not  applicable.

ITEM  4.  SUBMISSION  OF  MATTERS  TO  A  VOTE  OF  SECURITY  HOLDERS.

     The  Company  held  its  Annual Meeting of Stockholders on May 26, 1999, at
which  meeting all five of management's nominees for the Board of Directors were
reelected,  with four individuals reelected to serve as Class II Directors for a
three-year  term,  and  one  individual  reelected  as  a Class I Director for a
two-year term.  The individuals reelected as Class II Directors were:  J. Parker
Callahan,  Jr., receiving 412,799 votes for and 1,096 votes against or withheld,
with  no  votes abstaining;  J. Fredrick Heaton, receiving 412,899 votes for and
996  votes  against  or  withheld,  with  no  votes abstaining; William C. Hill,
receiving  412,794  votes for and 1,101 votes against or withheld, with no votes
abstaining;  and  Roger  A.  Orsini,  receiving  412,899 votes for and 996 votes
against  or  withheld,  with no votes abstaining.  The individual reelected as a
Class I Director was R. Michael S. Menzies, Sr., receiving 412,899 votes for and
996  votes against or withheld, with no votes abstaining.  Class I and Class III
Directors continuing in office are:  Sheila W. Bateman, Jack H. Bishop, W. David
Hill,  David  F.  Lesperance,  Vinodrai  Mehta, Mahmood S. Shariff, and Jerry L.
Wilcoxon.

ITEM  5.  OTHER  INFORMATION.

     Any  stockholder  of  the  Company who intends to present a proposal at the
2000  Annual  Meeting  of  Stockholders,  which  proposal is not included in the
Company's  Proxy  Statement, must deliver notice of such proposal to the Company
no  later  than  March  1,  2000.  If the proposing stockholder fails to deliver
notice  of such proposal to the Company by such date, then the person or persons
designated  as  proxies in connection with the Company's solicitation of proxies
shall  have  the  discretionary  voting  authority  to  vote  the  shares of the
Company's Common Stock represented by the proxy cards returned to the Company in
accordance with their judgment on such matter when such proposal is presented at
the 2000 Annual Meeting.  Any such notice of a stockholder proposal must be made
in  writing  addressed to Sheila W. Bateman, Easton Bancorp, Inc., P.O. Box 629,
Easton,  Maryland  21601.

ITEM  6.  EXHIBITS  AND  REPORTS  ON  FORM  8-K.

     (a)  Exhibits.

           3.1     Amended  and  Restated  Bylaws  of  the  Company.

          11.1     Computation  of  Earnings  Per  Share.

          27.1     Financial  Data  Schedule  (for  SEC  use  only).

     (b)  Reports  on  Form  8-K.

          There  were  no  reports  on  Form 8-K filed by the Company during the
          quarter  ended  June  30,  1999.

                                        9
<PAGE>
                                   SIGNATURES


     In  accordance  with  the  requirements of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.

                                     EASTON  BANCORP,  INC.
                                     ----------------------
                                        (Registrant)



Date:    August  12, 1999               By:  /s/ R. Michael S. Menzies, Sr.
       ------------------                    ------------------------------
                                                 R. Michael S. Menzies, Sr.
                                                 President



Date:     August  12, 1999              By:  /s/  Pamela A. Mussenden
        -------------------                  ------------------------
                                                  Pamela A. Mussenden
                                                  Assistant Treasurer
                                                  (Principal Financial Officer)


                                       10
<PAGE>
                                INDEX TO EXHIBITS


<TABLE>
<CAPTION>
Exhibit                                               Sequential
Number   Description                                  Page Number
-------  -------------------------------------------  -----------
<C>      <S>                                          <C>
    3.1  Amended and Restated Bylaws of the Company.
   11.1  Computation of Earnings Per Share.
   27.1  Financial Data Schedule (for SEC use only).
</TABLE>

                                       11
<PAGE>